Ironwood Pharmaceuticals (IRWD) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Ironwood Pharmaceuticals

NasdaqGS•Healthcare•Drug Manufacturers - Specialty & Generic

$4.17-0.09(-0.02%)Pre-market

Market Cap

$685.57M

P/E

5.3x

P/S

1.8x

Ironwood Pharmaceuticals, Inc., a biotechnology company, focuses on the development and commercialization of therapies for gastrointestinal (GI) and rare diseases in the United States and internationally. It sells linaclotide, a guanylate cyclase type-C (GC-C) agonist for the treatment of adults suffering from irritable bowel syndrome with constipation or chronic idiopathic constipation, as well as for pediatric patients suffering from functional constipation under the LINZESS and CONSTELLA names. The company is also developing IW-3300, a GC-C agonist for the treatment of visceral pain conditions, including interstitial cystitis/bladder pain syndrome and endometriosis; and Apraglutide, a synthetic peptide long-acting analog of glucagon-like peptide-2 for short bowel syndrome patients dependent on parenteral support, as well as for acute graft versus host disease. It has strategic partnerships with AbbVie Inc., AstraZeneca AB, and Astellas Pharma Inc. for the development and commercialization of linaclotide. The company was formerly known as Microbia, Inc. and changed its name to Ironwood Pharmaceuticals, Inc. in April 2008. Ironwood Pharmaceuticals, Inc. was incorporated in 1998 and is headquartered in Boston, Massachusetts.

How this company scores

WeakMetricSide Score: 70/100

Grade capped at D — Negative equity — the balance sheet is insolvent. Strongest: Growth (21/25); weakest: Balance Sheet & Red Flags (12/25).

Profitability17/25

Growth21/25

Balance Sheet & Red Flags12/25

Cash & Earnings Quality20/25

Strengths

Growing revenueRising free cash flowStrong marginsRising earnings

Grade capped at D

Negative equity — the balance sheet is insolvent.

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 5.3x5y range 3.6x – 795.9x

Currently below its 13-quarter median.

P/S · 1.8x5y range 0.4x – 5.2x

Currently below its 20-quarter median.

P/B · 2.3x5y range 2.3x – 3.9x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Earnings Quality

Watch

FCF/Net Income has dropped below 0.7x in 4 quarters — monitor for earnings quality deterioration.

Price & Volume

Market Cap $685.57M

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $389.32M
Q. Revenue: $113.04M
TTM EBITDA: $236.00M
TTM Op. Income: $234.17M
Q. Op. Income: $79.31M
TTM Net Income: $129.87M
Q. Net Income: $51.29M
EPS: $0.31
Shares Out.: $164.41M

$389.32M in TTM revenue grew 26.2% YoY, reaching $113.04M last quarter. TTM EBITDA of $236.00M and TTM operating income of $234.17M show growth is flowing through to the bottom line. TTM net income of $129.87M means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 2 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

EBITDA Margin: 70.6%
Op. Margin: 70.2%
Net Margin: 45.4%

Op. margin of 70.2% is up 17.0% YoY — cost efficiency is improving. Net margin at 45.4% Across the last 8 quarters, operating margin has risen for 2 consecutive quarters — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 5.3x
P/S Ratio: 1.8x
P/B Ratio: N/A

At 5.3x P/E, the stock trades below typical market levels. P/S of 1.8x and P/B of 0.0x provide additional context. P/E sits below typical market levels while revenue is growing. Over the past year, P/E is down 99% — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $285.13M
Cash: $79.13M
Long-Term Debt: $385.00M
Book Value: $-161.84M
D/E Ratio: N/A
Debt/EBITDA: 4.8

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $58.28M
TTM Free Cash Flow: $185.55M
FCF Margin: 47.7%
FCF / Net Income: 1.4

TTM FCF of $185.55M on $58.28M in operating cash flow. The FCF / Net Income ratio of 1.4x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is up 520% — an improving trend.